Dogecoin’s price has been sliding for the past couple of weeks, hovering just above $0.31. But there’s a glimmer of hope, according to some analysts.
RSI Indicator Suggests Potential Upturn
Crypto analyst KrissPax noticed something interesting: Dogecoin’s Relative Strength Index (RSI) on the weekly chart hit 59. This is a key technical indicator. Remember, the RSI measures the speed and change of price movements. A reading around 59 can sometimes signal a potential price increase.
A Look Back in Time
The last time Dogecoin’s weekly RSI was around 59 (back in October), the price was about $0.15. What happened next? A significant price jump! Dogecoin rallied, eventually peaking at around $0.475.
Could History Repeat Itself?
This past performance, while not a guarantee of future results, has some speculating that Dogecoin could be poised for another rally. KrissPax suggests a potential price increase to $0.60. However, it’s important to remember that the crypto market is notoriously volatile. A slight dip back to around $0.45 before continuing upward is also possible. A move to $0.60 from the current price of around $0.31 would be a huge 90% increase!
Current Market Conditions
Right now, Dogecoin is showing some resilience around the $0.31 mark, but it needs a stronger push to break through. Key support levels to watch are $0.31 and $0.30. Resistance levels are around $0.33, $0.35, and $0.40. Failure to break above $0.316 could lead to another short-term dip.
